Constellation Brands (NYSE:STZ) Posts Earnings Results, Beats Expectations By $0.35 EPS

Constellation Brands (NYSE:STZ - Get Free Report) released its quarterly earnings data on Wednesday. The company reported $2.63 earnings per share for the quarter, beating the consensus estimate of $2.28 by $0.35, Briefing.com reports. The firm had revenue of $2.13 billion for the quarter, compared to analyst estimates of $2.14 billion. Constellation Brands had a net margin of 6.27% and a return on equity of 26.55%. The company's revenue for the quarter was up 1.2% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.26 EPS. Constellation Brands updated its FY26 guidance to $12.60-$12.90 EPS and its FY 2026 guidance to 12.600-12.900 EPS.

Constellation Brands Stock Performance

Shares of NYSE:STZ traded up $0.88 on Friday, hitting $185.63. 3,758,949 shares of the company were exchanged, compared to its average volume of 1,692,985. The company has a debt-to-equity ratio of 1.26, a quick ratio of 0.46 and a current ratio of 1.10. The company's 50 day moving average price is $176.86 and its two-hundred day moving average price is $209.03. Constellation Brands has a one year low of $160.46 and a one year high of $270.18. The firm has a market capitalization of $33.55 billion, a price-to-earnings ratio of 49.90, a PEG ratio of 1.52 and a beta of 1.75.

Constellation Brands Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, May 15th. Shareholders of record on Tuesday, April 29th will be issued a $1.02 dividend. The ex-dividend date of this dividend is Tuesday, April 29th. This is an increase from Constellation Brands's previous quarterly dividend of $1.01. This represents a $4.08 dividend on an annualized basis and a yield of 2.20%. Constellation Brands's dividend payout ratio is -792.16%.

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Analyst Upgrades and Downgrades

A number of research firms recently issued reports on STZ. Needham & Company LLC reissued a "buy" rating and set a $215.00 price objective on shares of Constellation Brands in a research report on Thursday. Evercore ISI lowered their price target on Constellation Brands from $300.00 to $250.00 and set an "outperform" rating for the company in a research note on Monday, January 13th. Citigroup dropped their price objective on Constellation Brands from $200.00 to $190.00 and set a "neutral" rating on the stock in a report on Friday. BMO Capital Markets reduced their price objective on shares of Constellation Brands from $260.00 to $215.00 and set an "outperform" rating for the company in a research note on Friday. Finally, Piper Sandler downgraded shares of Constellation Brands from an "overweight" rating to a "neutral" rating and lowered their target price for the stock from $245.00 to $200.00 in a research report on Monday, February 3rd. Eleven equities research analysts have rated the stock with a hold rating and eleven have given a buy rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $234.38.

Insider Activity

In other Constellation Brands news, Director William T. Giles acquired 1,000 shares of Constellation Brands stock in a transaction dated Friday, January 17th. The stock was bought at an average cost of $186.39 per share, with a total value of $186,390.00. Following the acquisition, the director now owns 1,463 shares of the company's stock, valued at approximately $272,688.57. The trade was a 215.98 % increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 12.19% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

An institutional investor recently raised its position in Constellation Brands stock. Brighton Jones LLC grew its stake in Constellation Brands, Inc. (NYSE:STZ - Free Report) by 23.0% during the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 1,001 shares of the company's stock after purchasing an additional 187 shares during the period. Brighton Jones LLC's holdings in Constellation Brands were worth $221,000 as of its most recent filing with the Securities and Exchange Commission. Hedge funds and other institutional investors own 77.34% of the company's stock.

About Constellation Brands

Constellation Brands, Inc, together with its subsidiaries, produces, imports, markets, and sells beer, wine, and spirits in the United States, Canada, Mexico, New Zealand, and Italy. The company provides beer primarily under the Corona Extra, Corona Familiar, Corona Hard Seltzer, Corona Light, Corona Non-Alcoholic, Corona Premier, Corona Refresca, Modelo Especial, Modelo Chelada, Modelo Negra, Modelo Oro, Victoria, Vicky Chamoy, and Pacifico brands.